Philip Morris International Enters Manufacturing Agreement with Altria for Combustible Cigarettes

Philip Morris International (PMI) announced it has entered into a contract manufacturing arrangement with Philip Morris USA, an Altria Group operating company, for combustible cigarettes. The collaboration aims to leverage the manufacturing capabilities and expertise of both companies while they continue their respective transitions to smoke-free products.

Key Details

• Agreement: PMI's non-U.S. affiliates will engage in a contract manufacturing arrangement for combustible cigarettes with Philip Morris USA.
• Parties: Philip Morris International Inc. (PM) and Philip Morris USA (an operating company of Altria Group, Inc.).
• Timeline: The first shipments under the arrangement are expected to begin in early 2027, pending operational and regulatory readiness.
• Financial Impact: The company does not expect a material impact on its 2026 financial results from this agreement.
• Strategic Note: PMI reiterated that it has not commercialized combustible cigarettes in the U.S. and has no plans to do so; this agreement does not change that.